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I. MARKETING BACKGROUND

A. Overview of the Industry

1. Market Size

The ideal customers of the product cover most of the demographic criteria.
Young and adult, men and women, employed and unemployed, can consume the
product. In the Megamall, the estimated number of customers ranges from 10-000 to
15,000 per day. The exempted value that will not be included in the market size would
be allergic people.

The market size can be computed using the formula (Volume/Value) 3. Market
volume would be equal to the number of target customers multiplied by the penetration
rate. The number of target customers entering the Megamall, which is equal to 500.
500x70%=350. The market value can be computed by multiplying market volume by the
average value of sales. The company assumes an average sale Php 5,000.00. The
market value would be 350x5,000=1,750,000.

2. Market Trends

People nowadays, especially millennials, usually base their impression on the

physical qualities of a product. They like it instagrammable for their social-networking
sites. They also like to try new products that catch their interests. One quality they look
for in a product is its presentation. That is why many businesses, especially in the
Megamall, innovates their product’s presentation carefully to entice customers. An
example of this can be seen through the new businesses in malls. The BLK Yogurt-Ice
Cream product is very instagrammable because of its cool look and presentation.

B. Market Profile

The target location of the business is in the food court on the base level of the
Megamall in EDSA-Shaw. The demographic profile of the target customers are
employed or unemployed, single or married, professional or unprofessional, the target
income would be over Php 9,000 monthly, age would be 6-70 years old.

The approach used would be fair to both single and married. The uniqueness of
the approach would differ only to children and senior citizens. There will also be a senior
citizen discount of 20%.

There are no definite restrictions to the eligible consumers in the market, other
than people with allergies to the used ingredients. The product is ready to sell in almost
all people in the market.
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C. Environmental Analysis
1. Opportunities

New markets explored would result in more opportunities that can be gained.
Pizza rolls is a good example of new product that will bring new flavour in the market.
The company serves to impress and satisfy the customer. The product has some
alteration in terms of its packaging, we are likely to make it re- sealable so that it is easy
to keep inside the bag or hold by hand. The food-grade packaging is eco-friendly that
conforms to the new policy of some cities banning plastic products.

2. Threats

The threat is focuses on health awareness. Everybody wants to lead a healthy

life, including healthy lifestyle. In addition, it has an intense competition for the reason
some people tends to buy products that is more healthy like breads that is served less
oily and lower calorie-intake. Other major threats are legitimate pizza houses like
Greenwich, Pizza Hut and Yellow Cab. One minor threat would also be the absence of
drinking products.

II. ANALYSIS OF COMPETITION

A. Competitive Analysis

Based on the marketing research conducted competitors in the business is

always part of being in the business world and competitors is the struggles of one
business that need to face and defeat to make the business long lasting and to survive
in business world.

Bread roll is one of the business competitors because of having a lot of

similarities, it has a flavours but a common one it is also made by bread and not
expensive when you buy it. Bread roll is also click from the consumer not just because of
the price but also the size of their Bread roll. But Rolling Pizza is a worth buying food
because it really taste like a pizza like in the pizza parlour but a mini one. Customers can
now eat a mini pizza without spending too much of your money. The size of Pizza roll is
fair from its worth of price and it can also be click to those who love pizza and also to
those who wants to try a new version of bread roll.

Large pizza parlours are major competitors in the market. The customers, of
course, would prefer a larger, more whole, pizza. An example is the Greenwich pizza
parlour in the food court of the Megamall. If, by chance, the stall is positioned near the
said parlour, the success of the business is at terrible risk.

B. Market Shares/Sales Volume/Sales and Profit Trends

The market shares can be computed using the formula Company Sales/Entire
Market Sales=Market Shares. The expected sales of the company is Php 1,000,000 and
the entire market sales is equal to Php 100,000,000. The market share of the company
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can be computed by substituting values 1,000,000/100,000,000=1%. The market share

of the company is equal to 1% of the entire market sales.
C. Strengths and Weaknesses of Competition

Large pizza parlours strengths are; first, they offer bigger, whole pizzas than the
pizza rolls the company offers, second; they are much more renowned than the
company and are an advantage in terms of advertisement; third, they have more
employees to monitor their sales and marketing strategies. The weakness of these large
pizza parlours are; less innovative products because they only change their pizza
flavours but does not devise new products; second, they have larger competition among
themselves; third, they are already renowned so they will not catch the adventurous
interests of the consumers with trying new products.

III. COMPANY BACKGROUND

A. Company Profile
The company Lecheteh is founded and operated by students from Grade 12-
Bezos on September 27, 2018. An up-and-coming microbusiness focused on developing
and innovating edible products. The very first product launched by the business is the
Rolling Pizza, a mini pizza made into rolls with 3 different flavours. The company
composes of; the managers, Jeaneza and Rob, the cashiers, John and Lalaine, the
cooks, Anthony and Rhoda, and the service crew, Sayrel and Rica. The company name
is derived from the number seven, which is considered luck, and Spanish name of milk,
which is a common favourite among the founders.
B. Company/Brand Strengths and Weaknesses Analysis
Strengths
Pizza rolls are one of the market leaders for sale at the food court in Megamall,
as there are no competitors in this sector. Its recognizable brand can make the business
more strong. Pizza rolls is providing good taste, quality products with qualified staff in
making this kind of product. The staffs always assure the good atmosphere and
cleanliness of the working area. They are fond of making pizza rolls. Motivation level of
staff is very high which make this business more productive. The product is very
convenient for the customers at food court which is favourable to many people in terms
of its price; it's affordable and sufficiently good. In the future, we are likely to expand its
flavour selection or an innovation of that product, the more flavour, the merrier. Although
it is a small product mix, the advantage is, it is easier to manage fewer things that one
can really focus on it. We are here to serve what people's interest and not just to
compete and gain profit.

Weaknesses

Pizza rolls do not have restaurants that are viable to market into many different
segments of pizza roll of pizza roll chains for increase sales. However, the fact that pizza
rolls business is a small product mix where in the disadvantage, if the demand drops off,
there are no alternative products go out in a business. It is also a “niche appeal", a
product that appeals to a small, limited, or specialized group. Its weakness, it has
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minimal nutritional value, over eating pizza rolls may raise your blood cholesterol levels
and make you prone to heart diseases. But what does it matters, just set a limit.

C. Brand Consumer Profile

Target Customers are the consumer that will pursue to buy the product that the
business is selling. The target customers are within Mandaluyong City only, specially the
students there. The business is targeting those kind of a person who is “Food is Life”.
Those students who love to eat pizza and buy impulsively, when they saw unique foods
or new to their eyes they will immediately buy it. Consider those students who don’t want
to spend a lot of money and just want to save their excess allowance for some personal
matters. Instead of buying some expensive foods, Rolling Pizza is cheaper than the
others. In that way they can eat a lot without spending too much money and saving more
of their excess allowance. Because of an affordable price of the product, it can gain
customers.

D. Present Marketing Strategy

1. Segmentation, Targeting, and Positioning

The Geographic Segmentation of the product would be within the city of

Mandaluyong specifically in SM Megamall. Also, demographically any gender, age,
occupation or socio- economic group can buy the product since it is a food that anyone
can consume.

In a behavioural basis of the segmentation, it would be a needs and wants for the
customers since it is a food which is one of the basic needs of people and it would be a
great choice for them especially those who are price- sensitive because the product is
very affordable whatever socio- economic group they belong.

At a psychographic basis, it is great for customers who prefer to buy organic food
because the base of the product is bread filled with ingredients that came from the farm
specifically to the farm animals. Whatever personality they have the will surely buy the
pizza rolls and it will definitely become a hit to the market once available for the
customers.

2. Marketing Mix (Four P’s)

Product. The Pizza & Us sells Pizza Roll which comes from different flavours:
Veggie Mushroom Roll, Hawaiian Roll, and Ham and Cheese Roll. This will be a good
strategy for the customers since they have choices when buying the product. The quality
of the bread is soft and tender and has a gentle kick of flavour that the consumers will
surely like. It doesn’t only look appetizing but also, it will definitely taste good. The
customers’ money will be worth it because of the quality of the product and the company
will make sure that the equipment used in the production is clean.
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Price. The company provides high quality products because they want to ensure
that the customers are satisfied with their product. The pricing of this Pizza Roll depends
on the production cost that it covers but they will make sure that it is relatively cheaper
than any similar products. The Pizza & Us will make sure that the price is affordable due
to the fact that they want to meet the satisfaction of the consumers and the demand of it.

Place. A cosy and comfortable place will be a perfect location when selling these
products. Customers prefer being in a secured and neat place especially when they are
enjoying their food. It will also be convenient for them to go to because the place is not
hidden in public. We want our business to be known in public that is why we are
planning to establish it in a place that will get the attention of the people. The company
decides to establish their business in SM Megamall located in EDSA Shaw since it is
one of the renowned malls in Mandaluyong.

Promotion. Attracting customers are somewhat difficult to pull off that’s why an
effective advertisement will be a good marketing strategy to it. Creating a page in social
media will also help the business to make their product be known in public. They also
want them to give discount but it will depend on the amount of product that they will buy
and granting promos for them to like the product.

3. Competitive Strategies Employed

More than profit, the main objective of the company is to market a product that
will benefit and satisfy the customers. Unlike other competitors, who value income more
than customers, the Rolling Pizza Company prioritizes customers. The staffs are trained
to listen to the queries of the customers, and give the necessary and fitting solution.

Another strategy that makes the company unique is using the Filipino language
in our business. In order to achieve that targeted market, the business needed to reach
out to the greater people of our country who, most of the time, uses our native language.

And last, the company prioritizes senior citizens by giving discounts and offering
assistance whenever they are needed, within the store. The company believes that
reaching out to the mass and the senior citizens will open the communication to the
greater people of the market.

IV. IDENTIFIED MARKET OPPORTUNITY FOR THE PRODUCT/BRAND

The Megamall homes two opposite supermarkets held by the SM administration.

The ingredients needed for the product can be bought inside the mall itself. This is a
good opportunity to lessen the cost of the products because of the freight. Another
opportunity in the market is devising a new product by experimenting with the
ingredients and baking a new product that can be launched and produced for customers.
One opportunity for microbusinesses like Lecheteh is merging of another company. For
example, drinks brand that does not do well in business can be bought and operated to
add drinks in the menu.
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V. DESCRIPTION OF THE PROPOSED TARGET MARKET

The Megamall is a large market with lots of market opportunities. Because it is
situated on one of the busiest places on the region, EDSA-Shaw is a perfect market for
new businesses that is why many invest their capital in the Megamall.
Lecheteh’s pizza rolls can easily be spotted in the food court because customers
always circle around the place looking for new products. The company then can try to
attract customers with the place’s decors and the food presentation.
The Megamall also is one of the largest malls in the Philippines and therefore, is
always populated with customers and shoppers. The possibility of selling is larger than
the possibility of being ignored. Especially during weekends and holidays when the
largest food houses are always full and a long waiting list for the customers.

VI. MARKETING OBJECTIVES

A. Overall Objectives
1. Launch Rolling Pizza and make a product that is marketable to the customers.
2. Create a group of hardworking and committed people that will help the business
to become successful.
3. Gain a vast and better understanding when it comes to customers’ needs and
satisfaction.
4. Target new customers and market.
B. Specific Objectives and Targets
1. Generate a huge amount of sales
2. Receive a good feedback from customers.
3. Establish a good reputation of business.
4. Improve product through knowledge of customers’ needs and opportunities for
new product offerings.

VII. OVERALL MARKETING STRATEGY

The marketing strategy that will be implied is creating social networking sites like
YouTube channel for food video blogs, in that way; customers can give a feedback and
evaluation to the business performance. Creating website in Facebook and Instagram
will help the customers to recognize the product being advertise. The emergence of
social media will be a great help when it comes to advertising the business’ chosen
product. Also, giving discounts or promo will surely attract customers since in today’s
generation; consumers are very sensitive when it comes to price.
The location of the business plays a huge role when attracting customers, the
place must be open and convenient for them to go to. Having a good ambiance can help
a business to attract more customers.
The most integral part in marketing strategy is the customization and
presentation of the product. The main goal is to hook the attention of consumers in terms
of features and uniqueness of the products to satisfy the customer’s gratification.
VIII. THE MARKETING MIX
A. Product Strategy
1. Product Description/Features/Unique Selling Proposition
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Rolling Pizza is made from fried bread which has different flavours including Ham
and Cheese, Veggie Mushroom, and Hawaiian. In Ham and Cheese Roll, it contains four
layers of ham and cheese. On the other hand, Veggie Mushroom Roll contains spinach
and bell pepper with cheese and mushrooms while in Hawaiian Roll; it has two layers of
ham and cheese incorporated with pineapple tidbits. The inspiration of this product
comes from the manager’s addiction in pizza which made him come up with the idea of
creating his own mini version of it.

2. Packaging

Packaging strategy is one of the essential parts when it comes to marketing

strategy. Recognizing once product in terms of packaging is one of the bases to gain
customers. As indeed, the business plans to have an eco-friendly packaging in
sustaining the products. The business decided to use biodegradable and recyclable
materials. Packages that are made out from corn starch because it has no negative
impact on environment like card board and paper.

B. Pricing Strategy

The pricing strategy is very essential to the growth of a company as well as it

affects the sales and the demand of the product. The price of the product varies and
values the customer’s status and is available or affordable no matter what the
customer’s socio-economic class. In order for the business to sustain its operating life,
the price should be justifiable to the expenses of making the product but also the price is
not that too expensive for the customers. Affordable products but the price is worth-it for
the consumers of the product. Better service to the customers and to the customers is
our main concern in making the company’s product. The current mark-up price for the
product is Php 4.45 or 28.61%.

C. Distribution Strategy

The company does not have a physical establishment like vehicles and other
transportation services. The company provided a stall for its products and for the
customer to reach the product in the city of Mandaluyong. The company is trying to
reach every citizen in Mandaluyong areas by the use of social media in promoting their
products. Also the store which is a stall is easily accessible to the residents of
Mandaluyong and the stall has this special feature which is portable so the company can
reach every part of the city not just Mandaluyong but other places in the Philippines.

D. Promotion Strategy and Specific Activities

The main goals of promoting Pizza Rolls is to introduce a new product a new
product, stimulate demand, change the short-term behavior of the customers, and
encourage a greater usage and loyalty of current customers. Pizza Rolls uses many
personal strategies. We have social media account page including Facebook, the most
popular app and Instagram. We are also distributing brochures to capture more and
more customers. Rolling Pizza Company primarily focuses on attracting younger
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generations as our main market segment. We also join advertising camping that will
create awareness of the products in our target markets.
IX. THREE-YEAR FINANCIAL FORECASTS
A. Sales Volume/Value Projections

Units 2018 2019 2020

Hawaiian Rolls Php 1,000,000 Php 1,050,000 Php 1,075,000

Veggie Mushroom Roll Php 750,000 Php 725,000 Php 710,000

Ham and Cheese Php 900,000 Php 950,000 Php 940,000

B. Income Statement

Account 2018 2019 2020

Sales Php 2,650,000 Php 2,725,000 Php 2,725,000

Cost of Goods Sold Php 2,060,000.00 Php 2,118,687.50 Php 2,101,734.25

Gross Profit Php 590,000.00 Php 606,312.50 Php 623,265.75

Other Expenses Php 15,325.00 Php 13,732.00 Php 14,279.00

Net Profit Php 574,675.00 Php 592,580.50 Php 608,986.75

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X. ATTACHMENTS/APPENDICES
The Product
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Curriculum Vitae

Name: Abrajano, Jeaneza B.

Age: 17
Birthday: July 10, 2001
Address: 541 Calbayong St. Mandaluyong City

Name: Bermeo, Sayrel D.

Age:18

Birthday: August 21, 2000

Address: RTU Dormitory

Name: Codilla, Lalaine M.

Age: 17
Birthday: April 17, 2001
Address: 238-Bacood Street, Bacood Santa Mesa
Manila

Name: Ibay, Robnhean

L.
Age: 17
Birthday: March 25,
2001
Address: 119 Camia
Street, Sta. Ana Manila

Name: Libre, Rhoda Mae

V.
Age: 18
Birthday: August 29, 2000

Address: 13 Chai El
Dorado Dulo Brgy. Don Bosco
Paranaque City
Name: Marinas, Anthony
I.
Age: 18
Birthday: September
14,2000
Address: Block 6 Lot 3 Barangka Drive
Mandaluyong City
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Name: Soriano, Rica Joy F.

Age: 18
Birthday: September 17, 2000
Address: RTU Dormitory

Name: Villegas, John

Ariel D.
Age: 19
Birthday: Oct 13, 1999
Address: 156 Col. Guido
St. Angono Rizal